Everything Everywhere have announced that both their Orange customers will soon be able to pay with their phone, introducing the handy NFC payment system early this summer.

In collaboration with Barclays Bank, who already have a range of contactless payment credit cards, they announced today that the NFC (Near Field Communication) system would initially be useable in over 40,000 shops, including EAT, Pret a Manger, Co-op, McDonalds and more. Orange’s own demonstration picture was taken in a branch of EAT.

Gerry McQuade of Everything Everywhere, suggests being able to buy a cinema ticket in the near future, (Orange Wednesday, anyone?) and even larger purchases such as computers.

The NFC technology will come on SIM cards, taking a different strategy to embedding the NFC chip in handsets like Google’s Nexus S. Orange have said that they are “working with the world’s leading handset manufacturers” on developing the system.

Being on the SIM card, this should mean that you won’t need a top-of-the-range phone to use the contactless payment system, though it is said to be handset dependent.

Everything Everywhere have said that this approach will give customers extra SIM-based security, as well as providing a single point of customer care- somewhere to go to set it up, or help if it messes up, we guess.

Orange have also said to be developing their own pre-paid contactless card, Orange Cash, and there are already over 11.6 million contactless payment cards in circulation in the UK, the majority of them from Barclays.

UPDATE: Everything Everywhere have announced that the NFC rollout is initially for Orange customers only. They are, however, currently looking into applications for the system on T-Mobile.